Lucerne residents express dismay at rate hike in Cal Water workshop

LUCERNE -- The water service provider for Lucerne held a contentious workshop with residents upset about proposed rate hikes Wednesday night.

San Jose-based California Water Service Co. (Cal Water), the private company that provides water to the Lucerne area, filed a general rate case (GRC) with the California Public Utilities Commission (CPUC) in July asking for a new rate structure.

That proposal -- a 77-percent rate increase over three years starting in 2014 -- has many residents in the town of little more than 2,000 irate.

About 40 of those people attended the evening workshop, which lasted about an hour and 15 minutes at Lucerne Elementary School.

"I live by myself. I don't have a lawn anymore. I can't water any flowers anymore. I can barely wash one (laundry) load a week," resident Barbara Collier said. "I pay more money for water every month than I do for my medical. Now is that right?"

She said despite her conservation efforts, her bimonthly bill was $184 at her two-bedroom Lucerne house.

Tom Smegal, vice president with Cal Water, was at the other end of most of the questions.

"Remember that it's our proposal and not what you're going to see. You're going to see something different than that," Smegal said, referencing the fact the CPUC has the final say.

The company asked for the restructuring to cover operational and maintenance costs, fund system improvements needed and address sales decreases in Lucerne.

Residents inquired about a number of issues, including the nature of the capital improvements, the area's poor water quality, Cal Water's history in Lucerne and the company's bottom line.

The question-and-answer session grew tense, prompting Smegal to try and regain control of the room at least a half dozen times.

"Sorry, let's just make this clear: If I can't answer the questions, I'll just stop," he said at one point. "So, you want to hear from me or do want to bicker with me?"

Alan Flora, deputy county administrative officer, read aloud a letter the county supervisors sent to state representatives and regulators this summer, urging the CPUC to deny Cal Water's proposal.

"(Rushing) is doing a lot of work behind the scenes," he added. "I just want to assure the community that we are doing what we can in working with our elected representatives and the public utilities commission."

Smegal was upfront with attendees, reminding them early on that the informational workshop was not the place for them to share their thoughts as part of the official record.

"This not a public hearing," he said. "That will be your opportunity to talk to the commission about our rate increase request, about the economic conditions here in Lucerne, about water quality, service quality. That's your opportunity to be heard."

The hearing before the CPUC administrative law judge would occur in Lucerne likely in January or February, Smegal added.

He encouraged residents to participate in the GRC process by contacting the CPUC.

Helen Finnie passed around a clipboard after the meeting. She said she is part of a group that already collected 400 to 500 signatures for a petition.

"I take the quickest showers in the world that smell green and God awful," Lucerne resident Marge Rowen quipped after the workshop. She said her average bimonthly water bill was $216.

Cal Water suggested residents contact the CPUC Public Advisor's Office at 415-703-2074, toll-free at 866-849-8390 or via email at public.advisor@cpuc.ca.gov.